The Competition Tribunal has approved the sale of Tiger Brands’ milling business, including the well-known Ace brand.
The disposal covers a maize-milling plant and a wheat-milling plant, both located in Randfontein. The tribunal’s approval requires the buyer Rand Agri to retain all employees on terms no less favourable than they currently enjoy.
Tiger Brands, South Africa’s largest food producer, announced the sale in May during its interim results. The company, which owns popular brands such as Albany bread, Jungle Oats, and Black Cat peanut butter, is offloading the milling business to focus on other areas of its operations.
Rand Agri, which already runs a yellow maize mill in Bethal, Mpumalanga, producing maize grits, will expand its footprint in the country’s milling sector. The acquired facilities produce a range of white maize products under the Ace brand, including maize meal, samp, quick-cook samp, and instant porridge.
The Competition Commission previously said the deal is unlikely to harm competition but stressed that employment protection was a key condition.
This comes as Tiger Brands continues to streamline its portfolio as part of CEO Tjaart Kruger’s turnaround strategy. The company recently signed a sale agreement to dispose of its 74.7% stake in Cameroonian subsidiary Chococam to Minkama Capital and BGFIBank Group, pending regulatory approvals.
Earlier this year, the food producer sold its Langeberg and Ashton Foods canned fruit business, as well as Carozzi and its baby wellbeing division, while saving thousands of jobs. The company said the divestments, including the Randfontein milling operations, are part of a broader plan to simplify its structure, rejuvenate brands, and improve operational efficiency.
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